Disaster Related Extension of Deadlines Act

Floor Speech

I rise in support of H.R. 1491, the Disaster Related Extension of Deadlines Act, authored and introduced by my friend, the gentleman from North Carolina (Mr. Murphy).

I thank the chairman of the Ways and Means Committee for doing an excellent job in summarizing not just the issue but the solution with this bipartisan legislation, for it is this type of legislation that would ensure that tax deadlines remain aligned in disaster zones and that those who have survived natural disasters are not penalized by confusing collection notices or a shortened tax lookback period.

Now, currently, taxpayers have a 3-year lookback period after a filing deadline to claim a refund or missed credits. However, when the IRS extends filing deadlines for those affected by natural disasters, the deadline for the lookback period is not extended. This leads taxpayers, as you can imagine, Mr. Speaker, in disaster areas to lose out on money that they are owed because their lookback period is shorter than expected.

This bill would fix that, by aligning the lookback period with the postponed tax deadline for disaster zones. Additionally, this bill solves the problem of misaligned deadlines and confusing collection notices after a natural disaster.

Since current law requires the IRS to send a notice and demand for payment of tax within 60 days of processing a tax filing, individuals in disaster zones who file early but wait to pay often get confusing notices and demands for payment. These notices are sent long before payment is due and also cause panic and confusion during the difficult task of disaster recovery.

This bill, again, would fix that issue by requiring the IRS to take into account tax deadlines postponed because of disasters when issuing collection notices. It can take years to financially recover from a natural disaster, as many of us in this House have experienced with our constituents. Ensuring those who are recovering can claim what they are owed and do not have to worry about confusing collection notices is the absolute least that we can do.

This bill is an easy win, and it is the type of policy that makes government work and improves people's lives that we should be focused more on in Congress. This bill is an example of how government should help people. We are providing a plan based on a law that would help the government better serve people, especially in a time of need.

This is why we should come together and support the bipartisan Disaster Related Extension of Deadlines Act. I urge my colleagues to support this bill that would help our government be better in helping those constituents in times of need all across this country.

Mr. Speaker, I want to say briefly in closing that, as you have heard, this legislation has tremendous bipartisan support and will remove burdensome processes at the IRS to make government work better for our constituents after a disaster.

I appreciate Mr. Murphy talking about his district in North Carolina and the devastation that his constituents have experienced. In the 19th Congressional District, I am at the edge of the continent as well, on the west side of the continent, all the way across the country from Mr. Murphy's district, but we, too, are at the tip of the spear when it comes to floods, fires, storms, and other natural disasters. That is why I think, as you heard from Mr. Murphy, and I agree, that this is not a partisan issue.

Never should disaster assistance be a partisan issue. This has full bipartisan support because full financial recovery after a natural disaster can take years. Aligning tax deadlines from the IRS is the absolute least that we can do for our constituents who are rebuilding their lives.

Mr. Speaker, once again, I thank my colleagues, Representative Murphy and Chairman Smith, for their work on this bill, and I encourage my colleagues to support H.R. 1491, the Disaster Related Extension of Deadlines Act.

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